Stocks Tracker: Middling March as FY21 fails to impress

Flutter Entertainment 1 March closing: 9,456p 31 March closing: 8,880p Peak March closing: 9,592p A 17% year-on-year rise in pro forma revenue to £6bn in 2021 for industry giant Flutter Entertainment was beset by a fall in EBIDTA and a stalling European performance which did little to appease investors. An initial 13% slide of the London Stock Exchange saw the firm’s share price dip below 9,300p but did recover by close of trading at 9,456p. The remainder of the opening week was less kind to the Dublin-headquartered firm as the market reacted by sending Flutter’s share price down to 8,000p by Friday 4 March. A recovery showed signs of blossoming the following week as by Wednesday 9 March Flutter’s share price had risen to 8,774p but a double blow of regulatory issues sent the firm’s share price back down the following day. Firstly, Sky Betting & Gaming was handed a £1.17m fine for sending promotional emails to players who had self-excluded or opted out of receiving marketing materials. Fellow UK and Ireland brand Paddy Power was then found guilty of breaching advertising law by the ASA over a misleading radio ad. The regulator raps did see the company’s share price dip to 8,542p on Thursday 10 March but a strong period of recovery followed. A strong rise heading into week three was coupled with the release of Flutter’s annual report which revealed CEO Peter Jackson was awarded a £2.6m annual bonus in 2021. By Friday 18 March, Flutter’s share price had reached a monthly peak of 9,592p after clawing back following the disappointing reaction to its financial results. The joy wasn’t to last as the remainder of the month saw the company’s share price slip below 9,000p once again, closing the month at 8,880p

Entain 1 March closing: 1,602.50p 31 March closing: 1,643.50p Peak March closing: 1,722.50p A relatively quiet month for FTSE 100 operator Entain perhaps went in its favour on the stock market as its full-year financials and senior esports appointment bookended a period of stability and subsequent share price rise for the firm. Entain began the month by reporting revenue of £3.83bn for 2021 representing an increase of almost 8% on 2020. Online net gaming revenue accounted for £3.1bn of the total while underlying group EBITDA grew 5% to reach £881.7m. The operator’s results were revealed on Thursday 3 March and had little initial impact on the group’s stock, with the closing share price down just 1p to 1,559p. However, by Tuesday 8 March the company’s share price had plunged to 1,392.50p despite the seemingly positive financials the previous week. The week commencing Monday 14 March, however, saw a significant increase in the operator’s share price. Starting the five-day period at 1,531.50p, in a period of little news for investors, by Friday 18 March the firm’s stock had leapt to 1,722.50p. There was a slight dip for the remainder of the month, but Entain’s share price did remain comfortably above 1,600p given the troubles earlier in the month. The appointment of marketing veteran Brian Lancey as chief marketing officer (CMO) for its esports betting division, Unikrn on Wednesday 30 March did little to impact the firm’s overall share price but did provide onlookers an insight into how Entain’s esports drive was beginning to take shape. 888 1 March closing: 216.80p 31 March closing: 184.50p Peak March closing: 216.80p The month began in the worst possible way for London-listed 888 after being slapped with a £9.4m fine from the UKGC over AML and social responsibility breaches on Tuesday 1 March which sent its share price tumbling during the first week of the month. Starting out at 216.80p on Tuesday 1 March, the operator saw its stock fall to 195.40p by Friday 4 March. The fall continued into the second week of the month and the announcement of the company’s 2021 financial results did little to bring stability to the market. On Wednesday 9 March, 888 posted record full-year revenue of $980.1m, up from the $849.7m posted for full-year 2020. EBITDA grew 6% to $165m while pre-tax profit rocketed 205% in 2021 from $26.7m to $81.3m. However, the seemingly positive financial results did not reflect in the market, with 888’s share price on results day down to 189.20p from a previous close of 193p. The share price slip continued through to the next day of trading as the company’s share price bottomed out at a near-monthly low of 187.20p. The announcement of 888’s plans to venture into Africa on Tuesday 29 March was met with some positive market reaction as shares grew to 193.30p but the joy was short-lived as the remainder of the month left 888’s share price dropping to a monthly low of 184.50p. Better Collective 1 March closing: SEK147.20 31 March closing: SEK169.40 Peak March closing: SEK172.20 A positive full-year 2021 revealed at the end of the February did not see momentum carry through in the early weeks of March for affiliate giant Better Collective. After posting a 94% rise in revenue to €177.1m and EBITDA up 46% to €55.8m, the market responded positively in the final trading days of February. However, the first week of March saw Better Collective’s share price tumble, falling from SEK147.20 on Tuesday 1 March to SEK131.60 by Monday 7 March. The affiliate’s share price did recover in the subsequent weeks, most notably jumping from SEK146.20 on Tuesday 15 March to SEK158 by close of play on Wednesday 16 March. Another downturn would follow the next week as the company’s share price dipped to SEK152.40 by Wednesday 23 March. The next day, the market sat up and took notice as Better Collective confirmed the acquisition of Ontario-based affiliate Canada Sports Betting for a maximum of €21.4m (£17.8m). Better Collective’s share price leapt to SEK170.40 on Thursday 24 March before rising once again to a monthly high of SEK172.20 on Tuesday 29 March.